Climate Risk

The Sustainability Reporting and IFRS for SMEs workshop brought together 26 participants to learn and discuss about sustainability reporting in the European Union, including the transposition of the EU Corporate Sustainability Reporting Directive (CSRD), the 12 European Sustainability Reporting Standards (ESRS), and the related Assurance Standard in the works.

The Financial Stability Board coordinates the work of international regulators to support integrating sustainability policies at the request of the G20, including though climate and environment monitoring, under four key policy areas: firm-level disclosures, data, vulnerabilities analysis, and regulatory and supervisory practices and tools.

The world is seeing growing challenges that are affecting the real – and the financial economy, including banking and insurance companies. In the last two years, countries in Europe and Central Asia (ECA) are seeing the gains of ten years of reform and investment for inclusive growth and shared property drastically diminished by the Covid-19 pandemic, adverse climate events, and the war in Ukraine; these events have been disrupting supply chains and led more recently to rapid changes in prices of energy, food, and commodities, leading to inflation and rising interest rates.